HRIA vs. Audits: Why Dialogue with Rightsholders matters for HRDD

In many boardrooms and supply chain discussions, I hear the same question: “Isn’t Human Rights Due Diligence just another audit?”

The short answer: NO. Audits and Human Rights Impact Assessments (HRIAs) are different tools, designed for different purposes. Both can be useful — but if companies stop at audits, they will miss the essence of HRDD.

Here’s how they differ:

1. Purpose

• Audit: Checks compliance against a defined standard, law, or buyer code of conduct.
• HRIA: Identifies risks and impacts of business activities on people, with the goal of preventing harm and improving outcomes.

2. Method

• Audit: Structured, checklist-driven, usually a short site visit focused on records and visible compliance.
• HRIA: Participatory, consultative, and longer-term. Involves rightsholders directly through interviews, focus groups, and dialogue.

3. Depth of Engagement

• Audit: Engages mostly with management, sometimes with selected workers in controlled settings.
• HRIA: Engages broadly with workers, communities, contractors, and vulnerable groups — in their own contexts, in their own voice.

4. Output

• Audit: Pass/fail report or corrective action plan, often used for compliance reporting.
• HRIA: Narrative of human rights risks, impacts, root causes, and recommendations for systemic change.

5. Mindset

• Audit: Backward-looking — “Did you comply yesterday?”
• HRIA: Forward-looking — “What are the risks today, and how do we prevent harm tomorrow?”

My Experience on the Ground

I’ve seen this difference play out repeatedly. An audit might tell you whether contracts exist for workers. But an HRIA — through a focus group with women workers — reveals that they are not confident of raising concerns and getting resolution to their problems.

It’s these human conversations that shift HRDD from a tick-box exercise to a genuine process of building trust and resilience.

Why It Matters Now

Both the UN Guiding Principles on Business and Human Rights (UNGPs) and India’s Business Responsibility and Sustainability Reporting (BRSR) emphasize this approach: HRDD is about dialogue, continuous improvement, and engaging people.

Audits can play a supporting role. But they are not enough. HRDD is not about audits. It’s about people.

HRDD only creates real impact when it goes beyond audits and into dialogue with people. If your company is still relying on checklists alone, it’s time to rethink. Let’s talk about how to make that shift together.